Northparkes Mines

A century of mining together

The
Northparkes
Report 2016
Value In1997, Northparkes
was the first mine
in Australia to use
the highly efficient
block caving method.

Farming

1
Exploration
When drilling, waste
water is contained in
an above-ground bunded
tarp known as a "nappy".
Nappies are reusable
and minimise impact
to the land around
the drilling site.

2 3
Block caving
Block caving relies on gravity
and natural rock stresses to
fragment and recover the ore,
using minimal explosives.
100% automated mining
In 2015 our E48 Lift 1 block cave mine
became the world's most automated
underground mine with 100% automated
loaders. The driver-less loaders run
themselves – moving and dumping the ore.
echain of ore from our underground mines –
Cu

Au
Our 2016 metal
recovery results
were 88 per cent
copper and
a new all-time record for Northparkes. 75 per cent gold.

Copper
Concentrate

5 6
Ore processing
In order to recover copper
and gold from the ore,
it is processed through
several stages including
grinding, flotation,
concentrate thickening
and finally filtration.
Tailings management
Moisture from waste materials is
extracted and recycled in our ore
processing plant. Tailings are then
transferred to our Tailings Storage
Facilities, creating a dry surface.
To reduce dust, we are growing
crops on the surface of the facilities.

4 7
Sub Level Cave
We began production from our E26 Sub
Level Cave in 2016. Sub Level Caving
is a mining method during which slim
blocks of ore are released by successively
blasting and undermining small panels.
Transport and logistics
The concentrate is transported to port by road
and rail in shipping containers. These containers
are then tipped directly into the ship using
a specially designed crane attachment called
a rotainer. The concentrate is not removed from
the containers until it is loaded into the ship
ready for its final journey to our customers.
echain
CONTENTS
Our purpose 1
Our story 2
One team 6
Zero harm 18
Improvement 28
Life balance 34

Cu
Our 2016 metal
recovery results
were 88 per cent
of ore from our underground mines – Au copper and
a new all-time record for Northparkes. 75 per cent gold.

Copper
Concentrate

5 6
Ore processing
In order to recover copper
and gold from the ore,
it is processed through
several stages including
grinding, flotation,
concentrate thickening
and finally filtration.
Tailings management
Moisture from waste materials is
extracted and recycled in our ore
processing plant. Tailings are then
transferred to our Tailings Storage
Facilities, creating a dry surface.
To reduce dust, we are growing
crops on the surface of the facilities.

Aboutus
4 Northparkes is owned and operated by 7
Sub Level Cave
China Molybdenum Co., Ltd (CMOC) in
Transport and logistics
We began production from our E26 Sub The concentrate is transported to port by road
a Joint
Level Venture
Cave in 2016.comprising
Sub Level CavingCMOC (80%), and rail in shipping containers. These containers
Sumitomo
is a mining Metal Mining
method during Oceania
which slim Pty. Ltd are then tipped directly into the ship using
blocks of ore are released by successively a specially designed crane attachment called
(13%) andand
blasting Sumitomo Corporation
undermining small panels. (6.7%). a rotainer. The concentrate is not removed from
the containers until it is loaded into the ship
ready for its final journey to our customers.
All photo captions in this report are left to right.
 Northparkes Mines / The Northparkes Report 2016 1

Northparkes Mines
A century of mining together

Ourpurpose
We produce the vital
components of our modern
quality of life: the miracle
of copper, gold and grains.
They are the metal building
blocks of electronics and
infection-fighting surfaces,
and the foundation of our
food chain.

Cu+
Cu+
Cu+
 2

Oneteam

Ourstory O
Since 1993 Northparkes has
been celebrated for our
high-quality copper deposits,
low cost operations and loyal,
committed people.
Working at Northparkes is enjoyable: inspirational
leadership matters and diversity is celebrated.
We are proud to be a miner and a farmer,
a good Parkes neighbour and valued contributor
to NSW’s Central West.
Zero Harm Operations describes our approach.
We are innovative and resilient, we embrace
technology and new ways of working. We have
decades of excellent mineral deposits and an
entire mineral field to continue to explore.
We will discover the copper and gold deposits
to take us even further into the future. We are
setting up future generations of Northparkes
miners for a century of mining together.
 Northparkes Mines / The Northparkes Report 2016 3

Northparkes Mines
A century of mining together

Ourvalues
Zeroharm
Zero Harm is our approach to every aspect
of our operations. We care for our people,
our environment and the community in which
we live and work.

Oneteam
We proudly work together towards
our shared purpose.

Lifebalance
We realise the potential in
everyone, support their wellbeing
and enjoy what we do.

Improvement
We will be better tomorrow
than we are today.
4
From our
CEO
In Northparkes’ third year
under China Molybdenum
Co. Ltd’s (CMOC) ownership,
I am pleased that the
business continued to thrive
as an innovative and cost
competitive mining operation.
CMOC-Northparkes Mines
(Northparkes) was the first acquisition
in CMOC’s international portfolio.
It is therefore pleasing to see the
team achieve new Zero Harm and
underground production records in
2016, as well as becoming the first mine
in Australia to achieve White Ribbon
accreditation.
In addition, Northparkes bought two
major capital projects to fruition in
2016: the Rosedale Tailings Project,
which furthers long-term mining,
and the E26 Sub Level Cave, which
substantially contributes towards
copper production.
We are proud of everyone at
Northparkes for achieving these
important initiatives. Their efforts have
helped progress the vision of ‘A century
of mining together’ and position
Northparkes as a low-cost, long-term
producer of copper and gold. We
“Northparkes remains a cornerstone
of CMOC’s International portfolio and
a benchmark for mining operations globally.
I am pleased to see Northparkes go from
strength to strength, achieving new Zero
Harm and underground production
records in 2016.”
Kalidas Madhavpeddi
CMOC International CEO
face a number of future challenges I am pleased to note that Jim Fowler
in maintaining this position and was appointed as Managing Director
I believe the team at Northparkes of Northparkes in March 2017, and
is ready and willing to take us forward. will lead Northparkes’ continued
journey. All Northparkes employees
2016 was a year of strong growth
will no doubt join me in thanking
for CMOC as we significantly
expanded our global footprint
Stefanie Loader for her five years
with two key acquisitions.
of contributions and leadership at
Northparkes, particularly in respect
On September 30, 2016, CMOC to Zero Harm Operations.
acquired Anglo American’s Brazilian
It is an exciting time for our business as
phosphates and niobium businesses:
we expand our global operations and
NioBras and CopeBras. NioBras is the
grow considerably in size. Northparkes
world’s second largest supplier of
is an important part of CMOC and we
niobium, which is used as a strengthening
look forward to its continued success.
agent in the steel industry. CopeBras
is Brazil’s second largest supplier of
phosphates, critical to Brazil’s soybean
and corn production.
In November, CMOC acquired
Freeport-McMoRan’s indirect interest
in the Tenke Fungurume (TFM) mining
and processing assets. TFM is a world-
class and large scale copper-cobalt
mine in the Democratic Republic
of the Congo.
These acquisitions diversify CMOC’s
portfolio of metals as well as its
geographic presence and increases
our team of people, outside of China,
to approximately 15,000.

Northparkes Mines
A century of mining together
From our
Managing
Director
Welcome to our annual update
on Northparkes’ activities
and accomplishments.
As the incoming Managing Director
of Northparkes, I am pleased to have
spent some time last year with all the
employees at site and assisting the
leadership team with some of the
long-term planning. All of the team is
exceptionally proud of Northparkes’
leading achievement for 2016;
reaching a new all-time record of 200
days recordable injury free, one week
longer than last year’s record of 193
days. Congratulations to everyone at
Northparkes Mines / The Northparkes Report 2016
Jim Fowler
Northparkes Mines
Managing Director
Northparkes, as well as the hundreds
of contractors who work here each
year, on this remarkable achievement.
We will strive to improve upon this
record again in 2017.
A theme for 2016 was maintaining
stable operations; meeting our
production targets and eliminating
unplanned equipment breakdowns.
We have had no major equipment
breakdowns since January 2016.
In 2016 the team set a new underground
annual production record of 6.17 million
tonnes. This comes after the first year of
one hundred percent full automation
5
of our E48 Block Cave mine, and the
commissioning of our new E26 Sub Level
Cave. Twenty-one new employees
joined the Northparkes team to work in
the Sub Level Cave, which commenced
production in August.
Everyone was delighted to be
recognised externally for our approach
to Zero Harm Operations via a number
of awards and accolades. Northparkes
became Australia’s first White Ribbon
accredited mining operation after
a rigorous 18 month accreditation
process. Additionally, Northparkes
won the NSW Mining Health Excellence
Award at the NSW Mining Industry
and Suppliers Conference.
At the nationally-recognised Victorian
Mine Rescue Competition, the
Northparkes Emergency Response
Team took out first place across four
categories – rope rescue, theory,
fire-fighting, and, most importantly,
team safety. Information about these
successes and more can be found
throughout this report.
In recognition of the team’s
achievements in 2016, Northparkes
was a finalist in the Operation of the
Year award at the NSW Mining Industry
and Suppliers Awards.
2017 promises to be a year with its
own opportunities and challenges as
we work to make our business even
more efficient and innovative, while
maintaining a relentless focus on Zero
Harm Operations.
Thank you for your interest in
Northparkes. I look forward to leading
the Northparkes team for the next
chapter and having the opportunity
to share our future stories and
achievements with you.
5

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 Northparkes Mines / Sustainable Development Report 2016 5

am
8

Oneteam

Production
Thanks to a dedicated
one team approach from
everyone at Northparkes,
we celebrated a new record.
In 2016 we produced 6.17
million tonnes of ore from
our underground mines.
Rob Cunningham, Manager – Mining
Operations said, “Since implementing
100 per cent automated loaders in
our E48 underground mine in 2015 we
have gone from strength to strength.
I am exceptionally proud of the team.”
Another contributor to our underground
production record was the addition of
the E26 Sub Level Cave to our mining
operations (see page 30).
We stop production on a regular basis
to perform planned repairs, upgrades
and maintenance to our infrastructure
and equipment. These “shutdowns”
ensure our mine and mill continue
to operate safely and efficiently for
many years to come.
In July, we held major shutdowns
both underground and in our ore
processing plant, which saw over
1000 additional people at Northparkes
contribute 14,940 effort hours to
complete the works.
“This event was one of the biggest ever
shutdowns held at Northparkes, and
was completed without any injuries
or incidents,” said Hubert Lehman,
Manager – Asset Management.
One highlight was the installation of a
new girth gear, a large ring fitted to the
outside of the mill to provide its primary
rotational drive. Each half of the girth
gear weighed 34 tonnes – equivalent
to around 17 cars.
Jacques Labuschagne – Finance
Director said, “Our value chain must
be stable right through to logistics,
whereby our copper and gold
concentrate is transported by rail
and sea to our customers. We were
pleased to deliver 137,445 tonnes of
concentrate to customers in Japan
and China during the year.”

Our ore processing plant (also known

as a concentrator) is where we aim
to extract copper and gold from
the ore. As the composition of our
ore is variable, the Ore Processing
department works throughout the
year to ensure we are using the most
effective processing methods possible.
Roslyn Dalton, Manager – Ore
Processing said, “Two 200m3 flotation
cells were commissioned, adding
an extra stage to our flotation circuit
which helps us to extract additional
copper and gold. We also increased
automated monitoring throughout
the plant which allows us to respond
more rapidly to changes in the
composition of the ore.”
Caring for our equipment is an
important aspect of our Zero Harm
Operations philosophy. This is driven
by our Asset Management
department and supported by
everyone at Northparkes.

Northparkes Mines
A century of mining together
The Rosedale
Tailings project
The Rosedale Tailings Storage Facility
(TSF) was commissioned in July.
This project facilitates our vision of
‘A century of mining together’ by
enabling operations until 2032. Tailings
are the waste materials left over
after copper and gold is obtained
from the ore.
Northparkes Mines / The Northparkes Report 2016 9
As per our other TSFs, Rosedale has
been engineered to safely contain
tailings from our operations. The sturdy
embankments surrounding Rosedale
comprise 400,000m3 of clay. A network
of pumps and drains remove most of
the moisture, which is recycled into
our ore processing plant. During stage
one, the facility will hold 5.6 million
tonnes of tailings.
10

Oneteam

Developing our people

We support the learning and Department 2016 Gender Diversity %
development of our people. Male Female
We launched a new Leadership Site Management 57 43
Development Program in 2016, which
Financial Management 68 32
aims to grow the skills of current and
future leaders across Northparkes. People, Safety & Environment 50 50
The program has a focus on emotional Ore Processing 86 14
intelligence, task leadership and
Mining Operations 92 8
people management.
Asset Management 95 5
Northparkes also invests in formal and
informal training to enhance the skills Life of Mine Studies & Exploration 50 50
of our workforce; in 2016 Northparkes TOTAL 84 16
employees received around 3,390
hours of training.
We know leading teams are
diverse in gender, age and cultural
background. As such, we have formal
targets which aim to attract 20 per cent
female and 10 per cent indigenous
applicants to entry-level roles at
Northparkes. In 2016, we achieved
our goal: 23 per cent of applicants
for entry-level roles were female
and 11 per cent were indigenous.
 Northparkes Mines / The Northparkes Report 2016 11

Northparkes Mines
A century of mining together

Above
The Hon. Anthony
Roberts MP, Justine
Fisher, Hitoshi Ito
(SMMO), Mayor
Ken Keith OAM,
Esther Bruce, Elysha
Loiterton, Cr Phyllis
Miller OAM, Dahui
Zhang (CMOC)
and Stacie Martin.

Left
Esther Bruce – winner,
Outstanding NSW
Tradeswoman and
Stacie Martin – runner-
up, Exceptional
Young Woman.

NSW Mining
In May we attended the NSW Mining We had finalists in three award
Industry and Supplier Awards and categories: Northparkes Mines –

Industry and
Conference at NSW Parliament Mining Operation of the Year,
House, Sydney. We co-sponsored the Esther Bruce – Outstanding NSW
event with Evolution Mining, giving Tradeswoman and Stacie Martin –

Suppliers
the Central West a big presence. Exceptional Young Woman. Esther
Guests sharing our table included won her category and Stacie was

Awards
the Mayors of Parkes and Forbes, named runner up. We are incredibly
our Joint Venture partners, and proud of their achievements.
representatives from Cadia Valley
Operations in Orange.
12

Oneteam

Celebrating
20 years of service
We are fortunate to have so
many highly experienced
people in our team. In 2016,
17 of our colleagues
celebrated 20 years of service
at Northparkes; we look
forward to working with them
for many years to come!

The class of 2016 provides us with

a broad range of knowledge and
skills, which we rely upon as we strive
to achieve our vision of ‘A century
of mining together’.
Andrew Hubbard, Project Engineer
said, “Northparkes has provided me
with the opportunity to develop a vast
range of skills by working in a number
of different roles throughout my career.”
Class of 2016 facts:
• Combined, our class of 2016 has
recorded 320 years at Northparkes
• Each employee has been employed
in at least two different roles
• Over half have worked with each
other throughout their career
A common feeling shared among our
employees celebrating 20 years of
service, is the amount of opportunities
they have been offered throughout
their careers at Northparkes.

“Northparkes has provided me with the Top:

opportunity to develop a vast range of Steve Moon and

Robert Boschetti.

skills by working in a number of different

roles throughout my career.”
Above:
Doug Marks, Ray
Taylor, Luke Jones
Andrew Hubbard, Project Specialist and Craig Mann.
 Northparkes Mines / The Northparkes Report 2016 13

Northparkes Mines
A century of mining together

Below Right
Scott Rauchle, Sue Shane Noakes,
McGrath, Andrew Grahame Dunn,
Hubbard, Mike Wood, Brian Melhuish
Marcus Morrison, and Brendan
Matt Hancock and Cavallaro.
Noel Huggett.
14

Oneteam

Future generations
We offer a range of ways
for people to engage with
Northparkes and the mining
industry. Pathways include
our entry-level roles,
scholarships and industry
work placement programs,
all of which are critical
to achieving our vision of
‘A century of mining together’.
In 2016 our entry-level roles included
12 apprentices, 17 scholarship holders,
two trainees and 16 industry work
placement students. We welcomed
a new cohort of five graduates who
will commence in 2017.
geology students from several different
universities around Australia.
The students spent time with the
department most relevant to their
studies, working on projects designed
to develop their leadership skills and
technical background.
Stacey Kelly, Manager – People, Safety
and Environment said, “For many of
the students, their time at Northparkes
represented the mandatory industry
training required to complete their
degree. We were pleased to be able
to offer this benefit to the students,
while simultaneously gaining a fresh
perspective and unique contributions
to our business.”

Three apprentices have graduated While at Northparkes, the students

from their programs with Northparkes – contributed to a major local
Alec Edwards (Electrical Apprentice), community event – the Parkes
Andrew McInnes (Electrical Apprentice) Elvis Festival. They constructed the
and Karl Oliver (Mechanical Northparkes float which led the
Apprentice). Trainee Administrator festival’s street parade. 16,000 people
Ella Miller has graduated from her lined Parkes’ main street to watch
program. Stuart Taylor, a Graduate the Northparkes-sponsored parade.
Mechanical Engineer, has graduated
from his program. We’re proud of their
contributions to Northparkes, and wish
them well for a successful future.
Northparkes Indigenous Scholarship
holder Adelaide-Rose (Rose) Wakefield
graduated from Charles Sturt University
with a Bachelor of Education (Primary)
in 2016. Rose received two Dean’s
awards for academic achievement
in her final year, and is our second
Indigenous Scholarship holder to
graduate. Rose has already secured
two part-time teaching jobs in
Port Macquarie.
Our annual industry work placement Graduates: Xiaoqian Wang (Mechanical
program runs for eight weeks over the Engineer), Wendy Nguyen (Chemical Engineer),
Jack Mowen (Mining Engineer), Travis Carte
summer university holidays. In 2016 we (Mechanical Engineer) and Rhys Woods
hosted 16 engineering, chemistry and (Legal Advisor).
 Northparkes Mines / The Northparkes Report 2016 15

Northparkes Mines
A century of mining together

Below
The industry work placement students embraced
the 25th Parkes Elvis Festival with enthusiasm.

Lester Plummer
Apprentice
of the Year
A new award has been created in
honour of our friend and colleague
Lester Plummer, who passed away
in 2015. Lester always took a keen
interest in our apprentices.
The inaugural Lester Plummer
Apprentice of the Year Award
winner was Alec Edwards, who
has graduated from his Electrical
Apprenticeship program and
accepted a permanent full-time
role with Northparkes.
16
Oneteam
Scholarship programs
Sumitomo Metal Mining
Oceania (SMMO) Scholarships
SMMO, a Joint Venture partner of
Northparkes, established its school-
based scholarship program in 2014.
The program aims to encourage
careers in mining, and is an investment
above and beyond Northparkes’
existing commitments.
Local students Mihran Sarkissian, Peter
Lindsay and Eloise Clayton were each
awarded a 2016 SMMO Scholarship.
Eloise attended Trundle Central School
in the Parkes Shire and is now studying
a Bachelor of Science – Chemistry
at Western Sydney University. Eloise
spent her summer holidays completing
the Northparkes industry work
placement program.
Mihran and Peter are both Year
11 Students at Red Bend Catholic
College. Mihran said, “My dream is
to study electrical engineering, and
I hope to participate in the Honeywell
Engineering Summer School via the
University of NSW. The support from
SMMO will help me achieve this.”
Peter said, “I appreciate the
ongoing support from SMMO, and
the opportunity for work experience
through Northparkes Mines.” Peter aims
to become a mechanical or electrical
engineer. Eloise, Peter and Mihran
join a cohort of three existing SMMO
scholarship holders.
The two Year 11 students will receive
$500 for successful completion of
Year 11 and $1,000 for successful
completion of Year 12. $2,000 is also
granted to those scholarship students
who enter and successfully complete
their first year at university in a mining
related course.
Below
SMMO Scholarship holders Eloise Clayton,
Mihran Sarkissian and Peter Lindsay with
their families and representatives of SMMO.
Northparkes Indigenous
Scholarships
Kerrod Griffiths of Condobolin is in
his first year of a Bachelor of Health
Science (Indigenous) at the University
of Wollongong.
As part of his Scholarship, Kerrod
attends work placements at
Northparkes with our Health team.
“I have the opportunity to perform
medicals under the supervision of
a registered nurse; this experience
will be invaluable in finding work when
I complete my degree.”
“Down the road I see myself moving
back to the country and working in
public health, helping Indigenous
people,” he said.
Gabrielle Ebsworth (Gabby) is from
Narromine, and is also in her first year
of university studying Sociology at
the University of Melbourne. Gabby
plans to pursue a career in Indigenous
affairs or Aboriginal community
development.
“I’m passionate about giving back
to my community. I want to help
Aboriginal kids get through high school
and into uni or a trade and ultimately
“Down the road
I see myself moving
back to the country
and working in public
health, helping
Indigenous people.”
Kerrod Griffiths, Indigenous
Scholarship holder

Northparkes Mines
A century of mining together
put skills and jobs back into the
community,” she said.
“Over the summer I had a work
placement at Parkes Neighbourhood
Central (PNC). Every couple of days
I worked with a different department.
I helped out with a mother’s group,
assisted with aged care and disability
transport and outings.”
“I really enjoyed seeing all the great
things PNC do for the Aboriginal
community in Parkes and Peak Hill.
My experience will help me in my
future career; I had the opportunity
to see how organisations like PNC work
and what’s expected of the people
they employ.”
Northparkes Mines / The Northparkes Report 2016
Jason’s Scholarship
experience
Jason O’Neil was one of Northparkes’
first Indigenous Scholarship recipients.
Jason is now in his fifth and final year
of a combined Bachelor of Science
and Law at the University of NSW, and
plans to complete an honours year
in Indigenous Studies in 2018.
“Thanks to my scholarship from
Northparkes Mines and work
placements during university breaks
I’ve been able to enjoy financial
security throughout my degree and
be exposed to some really interesting
areas of law,” said Jason.
17
“I was employed by Gilbert + Tobin,
a top-tier law firm, in late 2015 –
partly thanks to the skills I developed
throughout my Northparkes-supported
work placements. I am now working
in their Pro Bono team where I am able
to assist with important cases that have
a major impact on our client’s lives.”
Below
Kerrod Griffiths performed health checks under
the supervision of a registered nurse during his
work placement at Northparkes.
18

Ze
 Northparkes Mines / The Northparkes Report 2016 19

eroharm
20
Zeroharm
Our approach
We have a Zero Harm
approach to every aspect
of our operations. We care for
our people, our equipment,
our environment and the
community in which we
live and work.
Our Zero Harm performance
For the second year in a row, we
set an all-time Zero Harm record
at Northparkes. For 200 days, nobody
was injured. This is seven days longer
than last year’s record, and was
achieved during the same period
in which we had over 1,000 additional
people onsite to complete our
major shutdowns.
Outside the 200 day period there Zero Harm leadership award winners:
were four recordable injuries, one Luke Jones and underground D Crew,
fewer than 2015. The injuries were Muhammad Akmal, Nigel McKeown
medically treated and each person and the Workshop team.
has returned to normal duties at work.
Zero Harm innovation award winners:
We work to achieve Zero Harm
Operations by looking out for each
Terry Kite and Mick Mills, Adam
other during every task each day.
Ryan, Craig Finnegan (SANDVIK),
Brad Mill, Brian Melhuish, Mick Carty
We know Zero Harm is achievable;
and Matt Flynn.
it is an essential part of our culture.
We believe innovation and
leadership in Zero Harm should 2016 injuries:
be rewarded.
Knee 1
On a quarterly basis we recognise
Finger 1
people who have been nominated
by their peers for their Zero Harm Hand 2
achievements.
 Northparkes Mines / The Northparkes Report 2016 21

Northparkes Mines
A century of mining together

Managing critical risks

A critical risk is an event which may
threaten someone’s life or cause
severe damage to our operations.
In 2016 we had a particular focus on
formalising the ways we manage these
risks; we have identified 20 critical
risks at Northparkes, with the top two
relating to vehicle interactions.
We hosted several external
assessments of our processes, including
a Targeted Assessment Program (TAP)
audit by the NSW Resources Regulator
regarding ground or strata failure.
During the feedback session, the Chief
Mines Inspector commented that
Northparkes has an industry-leading
approach to critical risk management.
22
Zeroharm
Our community and
our environment
Our environment and the
community in which we live
and work are critical to our
Zero Harm approach.
In previous reports, we shared our
industry-first dust mitigation strategy
of planting barley and tall wheatgrass
directly on our Tailings Storage Facilities
(TSFs). In 2016, this project came
to fruition – the crops have thrived
and successfully reduced dust lift-off
(see page 32). We recorded zero
depositional dust events associated
with our TSFs. We were proud to receive
zero community complaints in 2016.
We identified that our biodiversity
offset property, Kokoda, provided
ideal habitat for the Superb Parrot,
a threatened native bird species.
We partnered with the Parkes
Men’s Shed to construct 75
custom-made nest boxes.
These nest boxes were on display at
the Parkes agricultural show, where
children had the opportunity to
decorate the boxes with painted
handprints. The boxes will now be
installed in ideal locations for the
Superb Parrot to nest ahead of the
next mating season.
Environmental monitoring plays
a critical role in determining any
potential impact Northparkes has on
the surrounding environment. Real-time
We identified that our biodiversity offset
property, Kokoda, provided ideal habitat for
the Superb Parrot, a threatened native bird
species. We partnered with the Parkes Men’s
Shed to construct 75 custom-made nest boxes.
monitoring allows us to identify and
understand our environmental impacts
pertaining to dust and noise.
Air Quality
We regularly sample air quality at
key locations on and adjacent to our
mine site. The program is designed
to determine the effectiveness of
control measures and ensure we are
compliant with consent and licence
conditions. The program comprises a
combination of real-time BAMs (Beta
Attenuation Monitoring for PM10), high
volume air samplers (TSP), directional
and depositional dust gauges.
There were 15 dust exceedances
recorded during the year. All incidents
were investigated and attributed to
localised farming activities near the dust
monitors such as shearing, cropping,
stock movement and grading.
Noise
Noise monitoring is conducted
quarterly by an external specialist
who monitors and analyses noise data
at four of our closest neighbouring
properties. Noise levels must comply
with the requirements set out in our
Project Approval, and associated
standards and policies. Noise
monitoring comprises a combination
of real-time (unattended) monitoring
and attended noise surveys. There
were no noise exceedances in 2016.
Water
64 per cent of the water used onsite
was recycled in 2016. Its main use
was to process crushed ore into
copper concentrate.
We manage our water use through an
internal infrastructure system aiming to:
• Ensure a reliable and sustainable
long-term supply of water to site
• Minimise fresh water use by
recycling water from mining and
processing activities
• Monitor surface and groundwater
resources to assess the impact
of our operations.
Environmental Incidents
During the year there were three
environmental incidents reportable
to government agencies.
8 July 2016
A tap in a designated hydrocarbon storage
area was left open, resulting in discharge
of water mixed with hydrocarbons (crude
oil) outside the bunded area. Northparkes
submitted a report to the Environmental
Protection Authority (EPA) pollution hotline.
The area was cleaned up and drainage
mechanisms altered to prevent fluid leaving
the bunded area in future.
3 September 2016
During a significant rain event, rainfall
exceeding 72mm in a 24-hour period was
recorded on parts of the mining lease.
Northparkes reported that a designated
sediment pond overflowed into a waterway.
30 December 2016
A Total Suspended Particles (TSP) monitor
at the neighbouring property ‘Hillview’ was
damaged by an electrical surge and did
not operate during December 2016. The
incident was reported to the EPA, as the
monitor is required as part of Northparkes’
Project Approval. The monitor’s motherboard
has since been replaced.
 Northparkes Mines / The Northparkes Report 2016 23

Northparkes Mines
A century of mining together
24
Zeroharm
Our farming operations
We are proud to be a farmer
and a miner. For over 20
years we have been working
on techniques to improve
farming which are sustainable
and appropriate to both
our operations and those
of our neighbours.
In 2016 we sowed 3,640 ha of crops,
comprising canola, wheat, barley,
and field peas. Like many other farmers
in the region, record-breaking winter
rainfall resulted in our crops suffering
significant waterlogging damage.
While this resulted in below average Beechmore farm. This event, hosted by
yields, we were still able to harvest the Grains Research and Development
some quality produce. Corporation and the Queensland
Government, was attended by over
Grains from our 2015 harvest were
60 growers and advisors.
recognised at several local agricultural
shows, with our canola named “Grain Over the 2016/2017 summer period,
of show” at the Parkes show. we grew our first ever large-scale
summer crop on our Forbes farming
One of the great joys of being a
operations. The maize crop, which
farmer and a miner is the opportunity
becomes silage (cattle feed), is the
to share what we learn from our
result of a partnership with Moxey
farming operations with others. We
Farms – the largest dairy farm in the
held several field days and grower
Southern Hemisphere.
workshops on our farming operations
in 2016, including the “More Profit
from Crop Nutrition” workshop at our
 Northparkes Mines / The Northparkes Report 2016 25

Northparkes Mines
A century of mining together

Online
www.northparkes.com
www.facebook.com/northparkes
www.linkedin.com/cmoc-northparkes

Consultation
In addition to supporting
community initiatives, we
have several approaches
to formally engage, monitor
and report to our community
stakeholders:
Community Consultative
Committee (CCC)
The committee meets twice a year
to update members on business
operations and receive community
feedback. The committee is made up
of mine management and community
representatives from Parkes and
Forbes. The two meetings were held
in May and December.

Wiradjuri Executive Committee (WEC)

The WEC meets quarterly to identify
opportunities and develop projects
which support Wiradjuri people in
the community. The WEC is made up
of two members from the Wiradjuri
Council of Elders, two from Peak Hill
Local Aboriginal Land Council and
two senior Northparkes employees.
The committee made good progress
on targeted work plans. For example,
we procured our promotional products
from an Indigenous supplier for
the first time.

Neighbours meetings
Northparkes hosts formal onsite
meetings open to neighbours twice
a year, and meets with many
neighbours individually throughout
the year. At a meeting in September
we invited our closest neighbours to
view the barley crop growing on our
Tailings Storage Facilities (see page 32).

Source community newsletter

Published twice a year and distributed
online and via local newspapers.
26
Zeroharm
Welcoming
our guests
We welcome the opportunity
to showcase our operations to
external stakeholders. During
2016 we invited departmental
and government officials,
industry groups and school
students to Northparkes.
In April we hosted Rob Stokes MP, then
NSW Minister for Planning, and Sarah
Mitchell MLC, then Parliamentary
Secretary for Western NSW and
member of the Legislative Council.
Our visitors toured our underground
operations and the mill, and
commented positively on our
operations, the way we work with our
community and the diversity of our
team. We were also joined by the
Mayors of Parkes and Forbes for lunch.
The International Copper Association
of Australia (ICA) held its board
meeting in Parkes in April. ICA’s mission
is to defend and grow markets for
copper, based on its superior technical
performance and its contribution to
a higher quality of life worldwide.
Northparkes was the first mine to host
the ICA’s meeting outside of Sydney.
The group toured our underground
operations and walked up the rill tower.
In May we welcomed Lee Shearer,
Executive Director, Compliance and
Enforcement and Tony Forster from the
Division of Resources and Energy (DRE)
to site. They were accompanied by
the Hon. Carl Scully, Chair of the Mining
Safety Advisory Council (MSAC) and
Greg Sullivan, Policy Director of the Top
NSW Minerals Council. The ICA walking up the rill tower.
We were delighted to take the group
on a tour of our underground operations Above
and to view the barley crop growing
Rob Cunningham, the Hon. Rob Stokes MP, then
on our Tailings Storage Facilities. NSW Minister for Planning, Sarah Mitchell MLC,
then Parliamentary Secretary for Western NSW and
member of the Legislative Council, Roslyn Dalton
and Justine Fisher.
 Northparkes Mines / The Northparkes Report 2016 27

Northparkes Mines
A century of mining together

Australia’s first White Ribbon

accredited mine
On 25 November 2016, White Ribbon
Day, we were announced as the first
mine in Australia to achieve White
Ribbon workplace accreditation.
Our journey towards Zero Harm
Operations is a relentless focus across
our entire sphere of operation, and
our approach to domestic violence
is an important part of this philosophy.
Northparkes is now officially
recognised by White Ribbon
Australia as a pioneer in contributing
to national cultural change to
prevent and respond to violence Friday 19 August 2016 marked former colleagues from Brandrill.
against women. Accreditation the 20th anniversary of the death Several Northparkes team members
lasts for three years, evidencing of our friend and colleague spoke at the memorial; flowers
an ongoing, sustainable commitment. Stephen Shorrock. Stephen was were then placed on the memorial
part of the Northparkes team as rock onsite, and later at a memorial
Around 70 employees marched a shift boss for Brandrill who were plaque in Parkes.
and volunteered at White Ribbon contracted to develop the E26
community events in Parkes and We also stopped on 24 November,
Underground Mine. Stephen
Forbes to celebrate this achievement, as we do each year, to honour our
died as a result of a rock-fall
and draw attention to domestic colleagues who lost their lives in the
while working on the E26 Lift 1
violence prevention initiatives tragic air blast in 1999 – Ross Bodkin,
Block Cave development.
in our community. Michael House, Colin Lloyd Jones
At the 2016 memorial, we were and Stuart Osman. We continue
Remembering our colleagues joined by Stephen’s family and to remember these men each year.
28

Improve
 Northparkes Mines / The Northparkes Report 2016 29

ement
30

Improvement

Improving
our business
2016 marked our first full
calendar year with 100 per
cent automation in our E48
block cave mine. Automation
has seen continued benefits
in injury reduction and
production increases in our
underground operations.
Across the business, people shared
their improvements made throughout
the year via meetings and newsletters.
By sharing improvements, no matter
how small, with each other, we have
the opportunity to apply them in
other work areas or to other tasks
which may benefit.
In 2016 we shared over 70 improvements
amongst our employees.
For example, Paul Brown, who works
in our Light Vehicle workshop,
designed and fabricated ergonomic
Light Vehicle tyre handling crates. The
crates eliminate the need to lift heavy
tyres which can weigh up to 40kg.
This is just one of many small, but
significant, changes which improve
the way we work.
Our Sub Level Cave
Our E26 Sub Level Cave mine,
which began production in 2016,
represented a $70 million investment
in our business. This project provides
access to three million tonnes of high
grade ore and has brought 21 new
employees to Northparkes.
Sub level caving is a mining method
in which slim blocks of ore are caused
to cave by successively undermining
small panels. This method allows us
to access a remnant wedge of ore
which was not available when we
developed the E26 block cave mine.

Stable operations
2013 2014 2015 2016
Recordable injuries 11 9 5 4
Reportable environmental incidents 9 9 5 7
Total tonnes milled (Mt) 6.0 6.1 6.0 6.1
Copper Head Grade (%) 1.05 1.05 0.97 0.89
Copper Recovery (%) 88 88 88 88
Gold Head Grade (ppm) 0.46 0.40 0.32 0.26 Top left: Paul Brown’s design for ergonomic
tyre handling crates.
Gold Recovery (%) 75 76 75 75
Top right and above: The E26 Sub Level Cave
began production in 2016.
 Northparkes Mines / The Northparkes Report 2016 31

Northparkes Mines
A century of mining together

Life of mine studies and exploration

Exploring the mineral field
surrounding our current mining
lease is critical to extending
our mine life beyond its current
approval until 2032.
Wet weather impacted our drilling
program in 2016, so the Life of
Mine Studies and Exploration team
focused on planning, analysis
and reviewing our existing core
backlog. Over seven kilometres
of core was processed in the
second half of 2016, eliminating
the backlog and ensuring all
data was available for analysis.
Angus Wyllie, Manager – Life of
Mine Studies and Exploration
said, “By reviewing core samples
obtained many years ago, we can
apply new analytical techniques
and gain insight into the geological
composition across our tenements
of the land. This ultimately will help
find our next orebody.”
32
Improvement
Environmental
excellence
Tailings or waste materials
from our mining operations
are stored in Tailings Storage
Facilities. As we extract
moisture from the tailings prior
to deposition, a dry, smooth
crust forms on the surface of
the facilities. Hot and windy
weather can result in dust
lift-off, which we recognised
was an environmental and
community concern.
We had access to an existing successful
commercial farming operation,
equipment and in-house knowledge
of farming practices – and so we used
these resources to find a solution to
address dust lift-off. In 2015 we trialled
growing small crops of barley directly
on our TSFs, without topsoil.
Typically, TSFs are covered with
a substantial layer of soil and rock
during rehabilitation prior to attempting
to grow vegetation. This strategy
cannot be used on an active TSF,
which must be accessible for future
tailings deposition.
The trial seeds germinated, giving
us the confidence to undertake a
larger scale crop. In April 2016 we
sowed approximately 130 hectares
We had access to an existing successful
commercial farming operation, equipment
and in-house knowledge of farming
practices; we used these resources
to find a solution to address dust lift-off.
of barley, using a recycled compost
product called Nitrohumus to provide
additional nutrients to the crop.
The crop was a resounding success,
with the barley thriving and green
shoots appearing immediately.
The crops provide a non-permanent
dust mitigation solution, with the
additional benefit of adding carbon
material to the tailings; this will
eventually aid in rehabilitation.
We did not record any environmental
incidents or community complaints
associated with dust from our
TSFs in 2016.
This initiative was recognised as a
finalist for the Environmental Excellence
Award at the NSW Mining Health,
Safety, Environment and Community
conference. We were also invited
to speak at several different industry
conferences to share our results with
the broader mining industry.
We have commenced plot trials
of other crops including clover and
saltbush to determine the best crop
for the soil environment available
on our TSFs. We are delighted to
have been able to use our farming
knowledge to solve a mining problem.
 Northparkes Mines / The Northparkes Report 2016 33

Northparkes Mines
A century of mining together
34

Life
 Northparkes Mines / The Northparkes Report 2016 35

ebalance
36

Lifebalance

We enjoy
what we do
We recognise that our
employees have passions
range of issues which may impact
a person’s fitness for work, including: “We were able to do
and responsibilities within • Mental health something we always
and outside Northparkes. • Physical fitness wanted to do and
We encourage each other
to maintain a life balance
• Illness
• Drugs and alcohol
know that after it we
which supports our wellbeing. • Fatigue had our careers to
We aim to support our people
to pursue their interests outside
We also encourage employees to
involve their families with Northparkes
return to in Parkes.
Northparkes and later return to work. wherever possible. At our first ‘Mums,
dads and bubs day’ in October, we
It was not something
This may include family, sporting or
study commitments. welcomed Northparkes parents, their you hear of very
Ben Ryan took a career break
partners and young children to site for
a morning of socialisation and kid- often, so this was
special for us.”
playing rugby in the UK. “I had always
friendly activities. The children loved
wanted to travel and experience
seeing where their parents work. We
work and sports in a different part
hope events such as this will help Ben Ryan, Electrical Specialist
of the world,” he said.
create a network of young families
“We [Ben and his partner] were able in the Central West.
to do something we always wanted
to do and know that after it we had
our careers to return to in Parkes. It was
not something you hear of very often,
so this was special for us.”
Ben and his partner travelled across
Europe including England, Ireland,
France, Monte Carlo, Italy, The
Vatican City, Austria, Germany,
the Netherlands and Belgium.
When they returned to Parkes they
surprised their family and friends by
not providing exact dates. “We were
excited to catch up with our friends
and families and share stories of our
time away. Now I’m getting back
to my career at Northparkes and
looking forward to what the next
few years will bring.”
In addition to career beaks, Northparkes
also offers work-based programs
and activities which encourage life
balance. Our wellness program,
‘Am I Fit for Work?’ addresses a holistic
 Northparkes Mines / The Northparkes Report 2016 37

Northparkes Mines
A century of mining together

Below: We offer health checks as part

of our wellness program, ‘Am I Fit for Work?’

Working with CMOC

International
Stacey Kelly, Manager – People, Safety
and Environment, spent six months
working with CMOC International
on their acquisitions in Brazil and
Democratic Republic of the Congo.
“It was great to see how other
international operations and mining
companies operate. The people
I worked with were extremely
professional and knowledgeable;
it was a very agile and fast-paced
environment, which I enjoyed,” she
said. Stacey has now returned to her
role at Northparkes with the benefit of
newfound knowledge and experience.
38

Lifebalance

Our healthy
hearts won
Our 2015 wellness
program, Heart at Work,
“The Heart at Work program would
was designed to combat not have been successful without
the modifiable risk factors the enthusiastic participation of our
for cardiovascular disease.
We were thrilled when Heart at
employees. They embraced every
Work won the Health Excellence challenge, from cooking up a storm
award at the 2016 NSW Mining
Health, Safety, Environment and in crib rooms to committing to improve
Community Conference.
their personal health and fitness.”
“Our Zero Harm approach, including
our commitment to health and Stacey Kelly, Manager – People, Safety and Environment
wellbeing, was acknowledged with
this award. In the mining industry, our
health reflects that of the general
health of the population,” said Stacie
Martin, Health Specialist.
“We recognised that our workforce
had a cardiovascular disease risk
profile that mirrored the community
at large. This disease kills thousands
of Australians per year,” she said.
The program focused on
modifiable risk factors such as poor
diet and increased cholesterol levels,
reduced physical activity, obesity,
excessive alcohol consumption,
smoking and increased stress.

Right:
NSW Mining CEO Steve Galilee,
Rachael Whiting and Stacie Martin.
 Northparkes Mines / The Northparkes Report 2016 39

Northparkes Mines
A century of mining together

Workers who love

to give
We designed our Volunteer
Leave Program in 2013 with
the principle that the best
contribution to the community
could be made by its people.
Now in its fourth year, the
program is stronger than
ever – Northparkes
contributed 1,220 hours
of volunteering in 2016.
Justine Fisher, Specialist Community
and External Relations said
“Northparkes employees have taken
ownership of the program; it’s great
to see people proactively organising • Building repairs at Parkes East Day volunteering project, Cathy
their own volunteer projects and Public School O’Grady said, “I especially like
giving back to the community in volunteering at Trundle as this is the
• Marshalling at the Parkes Little
which we live and work.” community that I grew up in; I feel
Athletics carnival
“Each volunteer opportunity is I am giving back to this wonderful
• Helping Forbes Pre-School move
also a team-building event for our little town.”
to a new building
employees, so the program benefits
both Northparkes and the wider
• Cooking the BBQ at the Parkes In-kind
Charity Golf Day
community,” she said. • 1,220 hours of volunteer service
• Planting vegetation at PAC park to the Central West
Donna Shaw, who coordinated a
• Operating the tasting site at Trundle • Audio-visual equipment valued
clean-up of the Parkes showground
Bush Tucker Day at $150,000 to the University of NSW
said, “There are a lot of not-for-profit
organisations that need help, whether • Collecting rubbish from the for visual research projects
it be to bake a cake, clean out drains, roadside in Parkes • 120m of used conveyor belt valued
sweep pavilions or build pathways. • Preparing the Parkes Showgrounds at around $1000
It makes me feel proud to know for the annual show • Equipment pool – Northparkes has
I have helped out in some way.” • Preparing the Forbes Showgrounds a range of equipment available
In 2016 our employees for the annual show for public use, including 3 x 3
volunteered their time towards • Cooking for the Legacy Bake Sale marquees, a blow up big screen
22 community projects across TV and eskies used by schools,
• Constructing gardens and
the Central West, including: community and sporting groups.
playgrounds at Middleton
• Building a playground at Ronald Primary School
McDonald house in Orange • Setting up for the White Ribbon
• Rejuvenating landscaping at community marches in Parkes For more information or to request
Memorial Hill in Parkes and Forbes. assistance, please contact
Our volunteers enjoy the opportunity the Community and External
• Preparing the Bedgerabong Race
to give back to their local communities. Relations team on (02) 6861 3621.
Course for its annual Picnic Races
Coordinator of the Trundle Bush Tucker
40

Lifebalance

Our
contribution
In 2016 Northparkes Employees by town

contributed $77.1 million of residence

Parkes
2016
271

to the Central West Forbes 35

through salaries,
Orange 8
Dubbo 7

sponsorships, government Tichborne

Trundle 5
5

dues and payments to Bogan Gate 3

local businesses. As at
Other 8
TOTAL 342

year end, we employed

342 people; during the
Our contribution
to Central West NSW $M

year we paid salaries

Salaries and wages paid
per town of residence

of $32.8 million to Parkes

Parkes 32.8
Forbes 4.0

residents and $4 million Orange 1.0

Dubbo 0.6

to employees in Forbes. Trundle 0.7

Other 3.6
Suppliers of goods and services
Central West 31.3
Sponsorship and donations 0.4
Local government payments
Parkes and Forbes 2.7
TOTAL 77.1
Zeroharm
Our journey towards Zero Harm Operations
is a relentless focus across our entire
sphere of operation: our people, our
community, our environment and our
equipment. We believe this approach
is why we have been successful for over
two decades, and sets us up for further
decades to come. Our vision for our business
is for A century of mining together.
Thank you for your interest in Northparkes Mines.
Northparkes Mines
A century of mining together

CMOC-Northparkes Mines
PO Box 995 Parkes NSW 2870 Australia
Phone: +61 2 6861 3000
Fax: +61 2 6861 3111

www.northparkes.com
www.facebook.com/northparkes